*************************************
Re-blogged from NESARA Blog
*************************************
Subject: Dinar RV Value – Treasury Dollars Ready [AND]
U.S. Treasury Exempts Foreign Exchange Swaps From Dodd-Frank
To: StepsFor Success <StepsForSuccess@gmail.com>
Just passing along info I have come across regarding the
new U.S.T.
bills, TAG accounts, Dodd-Frank, etc. Don't ask me what it all means...LOL...just
want you to be aware of this info, so you are prepared when you do your
EXCHANGE...and who knows if it will even apply, IF our EXCHANGE isn't allowed
until 2013.
Blessings,
**************************************************************************************
Thursday, November 15th, 2012 | Posted by RJ
Dinar RV Value – Treasury Dollars Ready
Tom Gambill
Sun, Nov 11, 2012
Subject: Dinar Holder Notice!!!
There's more to the TAG accounts than meets the eye. TAG:
Transaction Account Guarantee
Superficial chatter says that you should just ask for
your Dinar deposits to be placed in a no-interest bearing account. Then your
funds will be insured with no upper limit. The FDIC will not be the insurer but
because of the Dodd-Frank bill you will be insured fully through the end of
this year, or maybe for the 12 months following the Re-valuation date???
But, Heads up:
Unless the bank has actually set up and is compliant with
the TAG account instructions, you may be harmed in several ways.
None of my local banks had heard of the rules for
becoming compliant with the Dodd-Frank instructions. I printed out copies of
the instructions (13 pages) and handed it to the bank VPs which they cheerfully
received, promising that their lawyers would read it and get ready to support
TAG accounts.
There is a basis for this strange TAG requirement (or
suggestion). It may help if you understand the basis for the Dodd-Frank Bill
and the TAG account option.
Your Dinar payouts were and are supposed to be in gold or
metals-backed currency. That's especially true for Dinar holders because the
Dinar you hold is backed by gold, oil, and minerals.
It's fool-hardy to convert the world's most valuable and
stable currency into US dollars that sink in value almost every day. Dollars
are announced to be DEVALUED another 40% within 30 to 60 days after the RV.
I mentioned Dinar as being stable. Yes. Monthly violence
in all of Iraq is far less that that of single US cities like Washington DC or
Los Angeles. TV news channels amplify and selectively choose what we are
allowed to see or believe.
So where is the US currency that is metals based? New US
Treasury bills are expected to be released to the public perhaps 30 or 60 days
after the RV. At that time we will have options for converting our old
greenback bills into the new Treasury bills. The new bills will be issued from
the US Treasury (we expect). The 99 year agreement between the US Treasury and
the Federal Reserve ran out sometime in January
2012 (it is claimed).
IF YOU DEPOSIT YOUR CONVERTED FUNDS INTO A VALID TAG
ACCOUNT:
- Your funds will be assumed to be of US Treasury Bill
value later, when and if the new Treasury bills are issued. (metals backed just
like the Dinar – good)
- You will have full and immediate access to your funds
to buy big items or properties, no rationing, no delays on withdrawals. (good)
- You must not gain any interest on the account
(Mandatory
Requirement) because banks can only pay interest using
current debt-based fiat unstable old US currency.
- You cannot take funds from any other source and deposit
them into your TAG account. (Maybe DONG payouts are ok, not sure.)
So if you thought you could just deposit Dinar payouts
into any old checking account that bears no interest, then you haven't looked
through the compliance standards that the bank has to fulfill in getting ready
to give you a TAG account. See the link further below.
The legal rules a bank must follow are quite dense and
heavy. Details galore. The bank must even have a small sign of a certain size
on the wall in the lobby stating with certain words that they provide TAG
account services.
Most of you probably envision cashing in at a bank, then
wiring some funds from there to other local banks or credit unions. These
secondary receiving banks will have to have legitimate TAG accounts if you want
the TAG benefits. Upon receiving the incoming bank wire, the bank will have to
ask about your source of funds. Your receipt from your original dinar
conversion event will be needed in this situation.
So what happens if you just ignore the TAG option. Maybe
you were only going to cash in one 25,000 Dinar note. At the rumored rate of
$12.36 that single note will produce a deposit of $309,000, which is just a
little over the $250,000 normal FDIC insurance.
Is that anything to worry about? (What? Me worry?)
WORRY DEFINED:
Later when we all line up at banks to trade in our
crumpled greenbacks to get our fresh Metals-based US Treasury notes, we have
hints, rumors, and whispers that there will be a 40% to 60% loss of greenback
value for everyone around the world that holds greenbacks. US dollars will be
devalued, announced and not a theory.
When the new Treasury bills are issued,
You will possibly trade in $100 old bills and receive
back $60 in new Treasury bills. (40% devaluation of US dollars) Or, You will
possibly trade in $100 old bills and receive back $40 in new Treasury bills.
(60% devaluation of US dollars).
IF your Dinar deposits are NOT PLACED IN A TAG ACCOUNT,
your old $1 million greenback dollars will be converted (in the bank) to
$600,000 Treasury Bills (for example) at the 40% devaluation rate, when the new
bills are released.
IS THIS SCARY EXAMPLE CLEAR? You cashed in top-value
DINAR which was already gold-based, and through negligence (in this example)
you lost 40% of your value because you didn't mandate that your bank set up a
TAG account to receive it.
We have been kept in the dark about many things, but
Congress saw this situation about to arise. For once, in your favor, the
Dodd-Frank bill designed a method by which your Dinar (and possibly Dong)
deposits would be treated AS ACTUAL METALS-BASED CURRENCY even though the new
Treasury bills won't be issued until a few months after the RV event.
These TAG accounts (if you see the sense of using them)
give the US Treasury up to a year to get their Treasury bills distributed.
The trauma of the US and world-wide populations having
their old green dollars DEVALUED can be dealt with best AFTER the frantic Dinar
conversions.
To appreciate the complexity of the RV happening in 195
nations, consider that the dollar devaluation will affect all those nations
WHOSE CURRENCIES ARE ALSO BEING reassigned based on the productivity of each
nation.
Summary: To avoid unnecessary diminishment of 40% or more
of your funds when the world soon converts to the new US Treasury bills,
consider printing out a few copies of the Dodd-Frank instructions and hand
carrying a copy to your local bankers who may be unaware.
I found it useful to talk with bank administrators,
stating that you are a Dinar holder, and that even though the local bank is not
expected to convert your dinar, you intend to wire sizeable funds into your
local account AND THAT IT NEEDS TO COME IN TO A Transaction Account Guarantee
(TAG) ACCOUNT which must conform with the printed instructions at this
government link.
Here's the official government link for the Dodd-Frank
PDF document that defines the bank policies required:
Consider printing a copy of the Dodd-Frank FAQ for the
banker(s).
**************************************************************************************************************
Bloomberg News
U.S. Treasury Exempts Foreign Exchange Swaps From
Dodd-Frank
By Silla Brush on November 16, 2012
The U.S. Treasury Department exempted foreign-exchange
swaps and forwards from Dodd-Frank Act regulations intended to reduce risk and
increase transparency in the derivatives market.
Foreign-exchange swaps and forwards are short-term
transactions that already have high-levels of transparency and risk management,
the department said in a statement yesterday announcing the exemption.
Deutsche Bank AG, Bank of New York Mellon Corp. (BK), UBS
AG (UBSN) and other banks urged Treasury Secretary Timothy F. Geithner to
exempt the market. The exemption had been resisted by some regulators,
Democratic lawmakers and advocates of tighter rules.
“Unlike other derivatives, FX swaps and forwards already
trade in a highly-transparent, liquid and efficient market,” the Treasury
Department said. “This final determination is narrowly tailored.”
Foreign exchange contracts were the second-largest source
of derivatives trading revenue for U.S. bank holding companies in the second
quarter, according to the U.S. Office of the Comptroller of the Currency. The
companies recorded $3.1 billion in revenue on trading of foreign exchange
derivatives.
Foreign-exchange swaps and forwards are part of a $4
trillion global daily market for foreign exchange, according to the Basel-based
Bank for International Settlements.
Dodd-Frank would move most swaps to clearinghouses that
collect collateral from buyers and sellers to reduce the risk that one party’s
default would disrupt the broader market. The measure was enacted in response
to the 2008 credit crisis that regulators and lawmakers said was fueled in part
by largely unregulated swaps.
‘Additional Costs’
“Moving FX swaps and forwards to centralized clearing
would not only have created additional costs for businesses and investors, but
also increased systemic risk,” James Kemp, managing director of the Global
Financial Markets Association’s foreign-exchange division, said in an e-mail
statement. “This final decision from the U.S. Treasury provides the clarity the
industry needs to now further develop the infrastructure of the future.”
In comment letters to Treasury in 2010, Democratic
Senators Carl Levin of Michigan and Maria Cantwell of Washington discouraged
the department from granting the exemption.
The Commodity Markets Council, a lobbying group for
energy and agriculture companies and derivatives exchanges, said in a June 2011
letter that the exemption could undermine the regulatory overhaul. The council
“believes exempting foreign exchange forwards and swaps at this time from the
clearing and trading requirements of Dodd-Frank could increase systemic risk at
a time when regulators around the globe are trying to reduce it,” according to
the letter, which was submitted in response to Treasury’s proposed exemption.
‘Unjustified’ Loophole
The council includes the CME Group Inc. (CME), the
Chicago-based owner of the world’s largest futures exchange; Intercontinental
Exchange Inc. (ICE), the Atlanta-based futures market operator; and Decatur,
Illinois-based Archer-Daniels-Midland Corp. (ADM), the largest U.S.
grain processor.
“Wall Street fought hard to convince Treasury to grant
this loophole, which is unjustified by independent research,” Dennis Kelleher,
president and chief executive officer of Better Markets, an organization
advocating stricter financial regulation, said in an e-mail statement. “That
may be why, after two years of consideration, the United States Treasury
announced such an important financial regulation decision on a Friday night at
5 p.m. when Congress is on recess and on the eve of the Thanksgiving holiday.”
Exemption Exceptions
The U.S. Commodity Futures Trading Commission and
Securities and Exchange Commission are required to write rules to reduce risk
and increase transparency for interest-rate, credit and other swaps in the
$648 trillion global over-the- counter derivatives
market.
The Treasury exempted foreign-exchange swaps and forwards
from those rules. The exemptions don’t apply to Dodd-Frank’s reporting
requirements and business conduct standards. The exemption also doesn’t apply
to foreign-exchange options, currency swaps and non-deliverable forwards.
The foreign-exchange swaps and forwards market and its
participants “have been subject to strong, comprehensive, and internationally
coordinated oversight by central banks for more than three decades,”
Treasury said in the announcement. The exemption takes
effect when it is published in the Federal Register.
‘Unforeseen Risks’
“Treasury believes that requiring foreign exchange swaps
and forwards to be cleared and settled through the use of new systems and
technologies could introduce new, unforeseen risks in this market,”
the department said in the final exemption order.
Darrell Duffie, a professor at Stanford University’s business
school, said the foreign-exchange swaps and forwards market has taken voluntary
steps to curb risks. “But the remaining amount of counter-party risk in the FX
derivatives market is enormous,” Duffie said in an e-mail yesterday after the
Treasury announcement. “Does the logic of this exemption imply that credit
default swaps or interest rate swaps should also be exempted from regulation
once practices improve in those markets? Surely that should not be the case.”
During the congressional debate over Dodd-Frank, the
Treasury Department fought unsuccessfully to exclude foreign exchange from
regulation over the objections of CFTC Chairman Gary Gensler.
An exclusion threatened to “swallow up the regulation” of
derivatives if interest-rate or credit swaps are structured as foreign exchange
swaps to benefit from the exemption, Gensler wrote in an August 2009 letter.
Steve Adamske, the CFTC’s spokesman, declined to comment
on the final Treasury exemption.
To contact the reporter on this story: Silla Brush in
Washington at sbrush@bloomberg.net
To contact the editor responsible for this story: Maura
Reynolds at mreynolds34@bloomberg.net
